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Hostels in Reykjavik – Cheap, Affordable or Luxurious?

Jan, 07 | |

If you are thinking of going on a vacation, one of the most important things to put into consideration is accommodation. It is best to make reservations for an accommodation with close proximity to the main attractions of the destination you plan on visiting. By so doing, you can easily walk there and spend less on transportation. You can get this and much more in Reykjavik. The city center is small, making it possible to see the main attractions nearby in a stress-free way. There are tour buses available from the city center to take tourists to several lovely attractions and excursions such as the Northern Lights and The Golden Circle.

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Considered a year-round destination, Reykjavik is usually cold and windy. It will be like a suicidal mission trying to walk long distances to your hotel rooms anytime of the day. If you are looking to enjoy a memorable vacation and avoid experiencing this unfavourable weather conditions, below are some of the most affordable and centrally located accommodation options to choose from.


Located in an old biscuit factory in the city center, Kex Hostel is famous for its close proximity to several entertainment venues, bars and night clubs. This hostel is very popular among the younger generation. Kex is fully equipped with a lot of amazing facilities including a café and bar, free Wi-Fi, laundry room, heated outdoor patio and much more. It is famous amongst foreign travelers, offering you the opportunity to meet new people from several places around the world. If you are looking for a relaxing and affordable hostel to stay on your trip to Reykjavik, consider making reservations at Kex hostel.


Hlemmur Square is another top hostel in the city of Reykjavik. It is a combination of luxury hostel and modern hotel accommodation in one building. Situated on the 3rd and 4th floors, the hostel has rooms that are certainly made for comfort for all ages. The beds in each of the room are designed to be noise-free. In Hlemmur, the rooms are spacious and fitted with black out curtains to ensure travelers enjoy a comfortable night rest during the famous midnight sun in Iceland. The beds are made with quality linens, pillows, duvets, and bed sheets. Guests are not allowed to come with their sleeping bags as everything is adequately provided for. Facilities in the hostel include a bar, lounges, restaurant and much more. Hlemmur Square is a wonderful place to relax and meet people from different spheres of life.


Located in the heart of the city, Reykjavik Backpackers is considered one of the best hostels in Reykjavik designed to offer travelers all they might need on visiting Iceland. Situated on Laugavegur, the main shopping street in the city, Reykjavik Backpackers has close proximity to the main bus station. The hostel also has closeness to some of the city’s finest attractions including museums, restaurants, bars, cafés and clubs. From the airport, guest can be easily transferred to the hostel. Some of the amazing facilities in the hostel include free Wi-Fi and internet service, tours, bar and breakfast area. If you are looking to explore some of the magnificent attractions of the city, Reykjavik Backers offers a wide range of tour packages from which guests can choose from. Make your visit in Iceland as pleasant as possible by staying over at Reykjavik Backpackers.


Located in a tranquil environment, Reykjavik Hostel Village is a perfect hostel in downtown Reykjavik where guests can relax and unwind. Every morning, guests are served with a continental Breakfast Buffet. Some of the facilities in the hostel include play areas for kids, free parking space, internet access, lovely garden ideal for outdoor recreation and BBQ, comfortable rooms and much more. It is ideal for families and groups. Guests can choose from several accommodation options including Single rooms, Double rooms, Twin room etc. Reykjavik Hostel Village also have a Tour Desk where guests can arrange rental cars, airport shuttle, obtain tourist information, tour excursions and lots more


Bus hostel is the latest addition to the hostels in Reykjavik. Located few minutes away from the city center, Bus Hostel Reykjavik offers incredible services to travelers of all kind. The bar area is a place where guests can make new friends, play board games and exchange ideas. The hostel offers a wide range of services and ensures you have a more relaxed and amazing stay in Reykjavik. It has close proximity to some of the main attractions in Reykjavik including Hallgrimskirkja, one of the most incredible attractions you shouldn’t miss, or the dome- Perlan, where guests can enjoy spectacular view of the city. Known for offering high quality service and classy accommodation at an affordable pricing, Bus Hostel Reykjavik is highly recommended for travelers seeking comfort.

The Golden Circle – Tours & Excursions

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Golden Circle is a MUST SEE for all tourists. This 300 km long route includes such sights as the Geysir, Gullfoss waterfall and Þingvellir National Park.

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Blue Lagoon Geothermal Spa

Blue Lagoon Geothermal Spa

A true gem in the middle of an old lava field. Let the hot milky water nurture your skin and soul. This is an Experience with a capital E.

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Hallgrimskirkja – The Church

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Hallgrimskirkja is the tallest building in all of Iceland. This church is located in the center of the city and is an easy place to start your visit from. Climb to the church tower to see the great view!

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